Disclosures on sustainability-related risks and opportunities are indispensable for risk management at financial institutions as they provide the information needed to evaluate exposure, allocate resources, and align business strategies. For banks, effective disclosures also mean leveraging client’s disclosures to manage associated exposures, on top of meeting their own reporting obligations.
However, as standards and regulatory expectations evolve, data gaps provide challenges for effective disclosures. This report addresses this challenge by providing case studies from financial institutions and real-economy companies to share insights into effective implementation.
The report is most relevant for risk and sustainability professionals at financial institutions who would like to understand more about sustainability-related risk and opportunity disclosure requirements in key standards and frameworks and how to implement them. It is also relevant for policymakers who would like to learn more about the challenges in implementing these disclosures and where further targeted guidance may be required.